What You Have to Know
- Ninety % of advisors in a survey mentioned that they had acquired questions on cryptocurrency final yr.
- A majority of these advisors have purchasers who spend money on crypto outdoors of the advisory relationship.
- 2023 presents a chance to deliver these investments in-house, Bitwise suggests.
Monetary advisors proceed to be extremely engaged in crypto markets regardless of final yr’s sharp market correction, based on The Bitwise/VettaFi 2023 Benchmark Survey of Financial Advisor Attitudes Toward Crypto Assets, launched Wednesday.
Fifteen % of advisors reported that they allotted to crypto in consumer accounts in 2022. That compares with 16% within the 2021 survey, and is properly forward of the 9% and 6% of advisors who did so in the 2 earlier years.
Though 63% of advisors anticipate bitcoin’s worth to fall this yr, 60% imagine will probably be larger in 5 years. At noon on Wednesday, bitcoin was buying and selling at round $22,600.
“Advisors and their finish purchasers proceed to wish to study extra about crypto investments regardless of the volatility incurred in 2022,” Todd Rosenbluth, head of analysis for VettaFi, mentioned in a press release. “For these with a long-term focus, curiosity stays excessive.”
The Bitwise/VettaFi survey happened from Nov. 25 to Jan. 6, and elicited 491 eligible, full responses from monetary advisors.
Sturdy Consumer Curiosity
Ninety % of advisors within the survey mentioned that they had acquired questions on crypto in 2022. Fifty-six % reported that regardless of market efficiency, purchasers’ commonest query was, “Ought to I contemplate an funding in crypto?”
Requested whether or not their purchasers have been investing in crypto on their very own, 59% mentioned sure, down from 68% in 2021.
“The survey is a reminder that crypto is without doubt one of the finest enterprise growth alternatives within the monetary advisor market,” Matthew Hougan, chief funding officer of Bitwise Asset Administration, mentioned within the assertion.